Bon-Ton forecasts wider-than-expected year loss

The operator of the Bon-Ton, Elder-Beerman, Boston Store and Carson Pirie Scott chains forecasts a loss of 45 cents to 95 cents per share, adjusted to exclude a goodwill impairment charge between $1.17 and $1.67 per share.

Analysts surveyed by Thomson Reuters expect a net loss of 35 cents per share, on average. Analysts' estimates typical exclude one-time items.

The store chain also expects same-store sales will fall by 3.5 percent to 5 percent. Same-store sales, or sales at stores open at least a year, is a key indicator of retailer performance since it measures growth at existing stores rather than newly opened ones.

It also expects selling, general and administrative expenses to fall from the prior year.

"In light of the challenging retail climate which shows minimal signs of easing for the remainder of fiscal 2008, inventory, capital and expense management remain key focal points," said Chief Financial Officer Keith Plowman in a statement.

Shares lost 53 cents, or 10.5 percent, to $4.51 in afternoon trading.